For the Quarter Ending March 2025
North America
Fluoroelastomer prices in the U.S. saw a modest decline of 1.71% quarter-over-quarter, driven by a combination of steady supply and tempered demand across key sectors. Throughout the quarter, supply dynamics remained stable, with production levels holding firm and no significant outages reported. However, challenges in the logistics chain, such as concerns over proposed maritime shipping fee increases, added pressure to the supply side, even as inventory levels remained sufficient to meet current needs.
On the demand front, the automotive and aerospace sectors supported overall consumption, although the growth in both sectors was moderate. The automotive industry showed slight improvements in sales figures, but the aerospace sector experienced fluctuations in demand, influenced by Boeing's production challenges. Meanwhile, the semiconductor sector continued to drive some consumption, though its overall impact remained limited.
Economic factors such as steady interest rates and cautious consumer sentiment influenced purchasing behavior, resulting in slower-than-expected procurement activity. The cumulative effect of these factors led to a slight dip in prices, as moderate demand coupled with stable supply conditions kept the market relatively balanced, despite rising raw material costs and labor expenses. This quarter reflects a market that, while resilient, is navigating through uncertainties that are keeping price movements relatively muted.
APAC
In the first quarter of 2025, the Fluoroelastomer market in Japan showed a modest decrease of 2.46% compared to the previous quarter. This decline was primarily driven by softer demand in key sectors, including semiconductor manufacturing and some challenges in the automotive industry. Despite strong performance in vehicle sales and global semiconductor growth, the overall sentiment among large manufacturers remained cautious, as indicated by the Bank of Japan's Tankan index. This led to more measured procurement strategies and slower growth in production activities. Supply-side dynamics remained stable, with manufacturers managing inventories effectively to prevent oversupply. Smooth port operations ensured timely deliveries, and no significant disruptions were reported. The resilience of the automotive sector helped balance out some of the weaker demand from other industries, including electronics. While export activity showed stability, softer business confidence due to global uncertainties and the ongoing impact of trade policies exerted downward pressure on the market. However, FKM pricing remained relatively stable as suppliers continued to prioritize high-value applications. Overall, the market faced challenges from subdued demand growth, but supply conditions and strong sectoral performances in certain areas helped maintain equilibrium.
Europe
In the first quarter of 2025, the European Fluoroelastomer market experienced a slight decline in prices, driven by a combination of factors impacting supply and demand. While supply remained stable with consistent production from local manufacturers and imports, logistical disruptions at key European ports, including strikes and congestion, created delays and hindered the efficient flow of goods. These issues, particularly in Hamburg, Rotterdam, and Le Havre, introduced uncertainty into the supply chain but were managed without significant impact on availability. On the demand side, the automotive sector continued to face challenges, with new car registrations showing a decline compared to the previous year. Although the aerospace sector showed resilience, with Airbus reporting a notable increase in order intake and deliveries in the first quarter, it was not enough to offset the broader weakness in the automotive market. Despite these challenges, Germany's business sentiment showed signs of improvement, with a slight recovery in industrial activity. The ECB’s interest rate cuts also contributed to a more favorable consumption environment. However, these mixed market conditions led to a modest 1.14% quarter-on-quarter price decrease in the Fluoroelastomer market.
For the Quarter Ending December 2024
North America
The US Fluoroelastomer (FKM) market demonstrated a stable trend throughout the last quarter, with prices experiencing a marginal 0.05% increase. This modest growth reflects balanced market fundamentals supported by stable supply and strategic inventory management by suppliers. While the automotive sector maintained steady demand, particularly for hybrid and electric vehicles, the aerospace sector's subdued performance limited broader market gains.
Manufacturing activity in the US showcased mixed results. The automotive industry saw consistent growth, with vehicle sales rising steadily across October, November, and December. However, the aerospace sector faced challenges, including production delays, labor strikes, and regulatory scrutiny, which hindered recovery despite isolated positive developments like Boeing's large order for 787 MAX 10 jets.
On the supply side, suppliers ensured robust inventories, mitigating the impact of port congestion and logistical disruptions during the holiday season. Improved stock management minimized supply chain challenges, allowing for smooth order fulfilment. Overall, the marginal price increase reflects a cautiously optimistic market outlook driven by the resilience of key sectors like automotive and effective supplier actions, despite headwinds in manufacturing and muted international trade flows.
APAC
In the last quarter, Fluoroelastomer (FKM) prices in Japan experienced a modest 0.16% increase from the previous quarter. The market demonstrated resilience, maintaining stable price levels despite various challenges, including weak demand from the automotive sector and logistical constraints, such as port congestion and extended lead times. The aerospace sector, however, remained a positive driver, supporting overall market stability, with strong performance from companies like Mitsubishi Heavy Industries, which reported growth in aerospace orders and revenues. The supply of FKM in Japan was adequate, with inventory management playing a key role in maintaining price stability. Manufacturers faced logistical issues but noted some improvement in raw material availability, which helped offset delays. On the demand side, moderate demand was seen across key sectors, with domestic automotive sales declining, while overseas demand provided some support. The cautious market sentiment, coupled with improving raw material availability, allowed manufacturers to maintain stable pricing despite challenges. Overall, the modest increase in pricing reflects a balanced market, with steady supply, cautious demand, and ongoing logistical hurdles influencing the overall dynamics.
Europe
The German Fluoroelastomer (FKM) market exhibited relative stability during the fourth quarter of 2024, with prices experiencing a modest 0.58% decrease compared to the previous quarter. This decline reflects cautious inventory management and a balanced supply-demand dynamic, supported by steady production levels and reliable import availability. From a manufacturing perspective, suppliers maintained stable output, ensuring adequate inventory levels despite logistical challenges such as port congestion in Hamburg and other European hubs. Improved operational efficiencies mitigated disruptions, enhancing delivery performance. On the demand side, automotive sector performance fluctuated, with a gradual decline in new passenger car registrations through the quarter. November saw a slight uptick in registrations, but December closed on a weaker note, dampening overall sentiment. Conversely, the aerospace sector provided steady support, with Airbus recording robust deliveries and orders throughout the quarter, contributing to stable consumption of high-performance elastomers like FKM. Economic challenges in Europe, including weak manufacturing activity and declining business confidence, further restrained market momentum. However, prudent supplier actions, aligned with cautious procurement strategies, helped prevent significant price volatility, ensuring market equilibrium despite broader uncertainties.
For the Quarter Ending September 2024
North America
In Q3 2024, the North American Fluoroelastomer market has experienced stability in prices, largely influenced by balanced supply and demand dynamics. Factors such as moderate demand from key sectors like automotive have contributed to the steady pricing environment. While the Aerospace sector continued to showcase an underperformance due to Boeing underperformance which has hammered the overall FKM consumption in the respective period.
Additionally, effective inventory management by suppliers has helped maintain price equilibrium in the region. In the USA, where the most significant price changes were observed, the market saw marginal fluctuations reflecting broader global trends. The 0.77% increase from the same quarter last year and the 0.98% change from the previous quarter in 2024 indicate a gradual but steady price trend.
The quarter-ending price of USD 36,050/MT for Fluoroelastomer MV 30 FOB USGC in the USA underscores the overall stable sentiment in the market. Despite varying demand levels and economic conditions, the Fluoroelastomer pricing environment has remained resilient and balanced throughout Q3 2024.
APAC
In Q3 2024, Fluoroelastomer prices in the APAC region experienced a notable upward trajectory, driven by several key factors. Strong demand from essential sectors such as automotive and aerospace, combined with consistent supply dynamics, has led to price increases. The aerospace sector in Japan and the Indian market has significantly supported overall Fluoroelastomer consumption, demonstrating resilience and competitive positioning that foster stable pricing across the region. However, the Chinese market faced a downturn in economic activity, which impacted Fluoroelastomer pricing dynamics in Japan. Notably, Japan witnessed the most substantial price changes, reflecting overall stability amidst global economic uncertainties. A 5.92% increase from the same quarter last year highlights the market's growth, while a 2.05% rise from the previous quarter in 2024 indicates sustained momentum. Additionally, a 1% price comparison between the first and second half of the quarter further illustrates a steady pricing environment. The latest quarter-ending price of USD 26,650/MT for Fluoroelastomer MV 30 FOB Tokyo underscores a stable and positive pricing environment, showcasing the market's resilience and strength.
Europe
In Q3 2024, the European Fluoroelastomer market showed notable price stability, primarily due to balanced supply-demand dynamics and strategic actions by key suppliers. Throughout the quarter, a blend of contributing factors helped uphold this equilibrium. Major suppliers aligned production closely with demand, successfully minimizing any substantial price fluctuations. This steadiness was further supported by strong demand in sectors like aerospace, which helped offset weaker performances in other areas, thus preserving market balance. In Germany, where price movements were most evident, the market followed a stable trend through the quarter. Despite seasonal adjustments and varied sector performances, prices displayed steady behavior. Fluoroelastomer pricing rose slightly by 0.69% from the previous quarter and recorded a notable 5.79% increase compared to the same period in the prior year, signaling a positive price trend. By the end of the quarter, Fluoroelastomer MV 30 FD Hamburg stood at USD 51,100/MT, reflecting an environment of effective supplier strategies and well-maintained supply-demand dynamics that supported consistent pricing stability.
For the Quarter Ending June 2024
North America
In Q2 2024, the North American Fluoroelastomer market exhibited marginal increase in pricing, primarily driven by a balanced interplay of supply and demand dynamics. This equilibrium was maintained despite variations in sector performances, with the automotive industry demonstrating robust growth contrasted by subdued activity in the aerospace sector. The automotive sector's increased demand for high-performance materials, such as Fluoroelastomers, due to their superior heat and chemical resistance, played a pivotal role in sustaining price levels.
Meanwhile, supply chain adjustments and sufficient inventory levels ensured that the market did not experience major price volatility. Focusing on the USA, which observed the most notable price fluctuations, the overall trend for Fluoroelastomer prices remained stable, reflecting a harmonious balance between demand and supply. The correlation in price changes between sectors was evident, with the automotive sector's positive momentum offsetting the aerospace sector's challenges.
Comparing Q2 2024 to the same quarter last year, there was 2.8% change, underscoring the market's bullishness nature. From the previous quarter, prices recorded a modest 1.2% increase, indicating a slight upward adjustment but still within a stable range. Concluding this quarter, the latest price for Fluoroelastomer MV 30 FOB USGC in the USA stood at USD 35650/MT.
APAC
The second quarter of 2024 has witnessed a notable surge in Fluoroelastomer prices across the APAC region, driven predominantly by robust industrial demand and strategic inventory management by suppliers. The automotive, aerospace, and manufacturing sectors have demonstrated a significant uptick in their requisites, bolstering market dynamics. Suppliers have been proactive in accumulating inventories, anticipating heightened future demand and potential supply chain disruptions. Japan, in particular, has experienced the most pronounced price fluctuations. The overall trend in Japan has been characterized by a consistent rise in Fluoroelastomer prices, supported by strategic supplier actions to manage stock levels amid growing industrial activity. Compared to the same quarter last year, Japan's Fluoroelastomer prices have decreased by 31.5%, reflecting historical volatility. However, there has been a 6.1% increase from the previous quarter in 2024, showcasing a rebound in market sentiment. The differential between the first and second halves of the quarter registered at 1%, indicating steady growth throughout the period. Concluding the quarter, the price for Fluoroelastomer MV 30 FOB Tokyo stands at USD 26100/MT.
Europe
In Q2 2024, the European market for Fluoroelastomer experienced a significant uptick in pricing, driven by several key factors. The primary catalyst for the price surge was the increased demand from essential industrial sectors, particularly aerospace and automotive, which are highly reliant on Fluoroelastomer for its exceptional chemical resistance and durability. Supply chain disruptions and logistical challenges further exacerbated the price rise by constraining the availability of raw materials and finished products. The strategic inventory management by suppliers, aimed at mitigating these disruptions, also played a pivotal role. Additionally, economic indicators pointed to a recovery in industrial activities post-pandemic, reinforcing the bullish market sentiment. Germany in particular, observed the most pronounced price changes within the European region. The overall trend in Germany showcased a marked increase in Fluoroelastomer prices, underpinned by robust demand from the aerospace sector, which partially offset the subdued performance in the automotive industry. Comparatively, the price decreased by 1.6% from the same quarter last year, indicating a positive long-term trend. The prices also saw a 0.9% increase from the previous quarter of 2024, reflecting continuous growth. The quarter concluded with the price of Fluoroelastomer MV 30 FD Hamburg in Germany at USD 51150/MT, highlighting a positive pricing environment throughout the quarter.
